Perhaps you have heard that buying a bank owned home is the best way to get a deal if you are buying a home, and it may be.
However, if you are considering buying a bank owned home in Costa Mesa, Newport Beach, Huntington Beach or Orange County, there several things, including some pros and cons of which you should be aware.
What is a Bank Owned Home?
A bank owned home, also known as a foreclosure, REO or real estate owned is a home that has been taken back from the former owner/borrower by the bank. This usually occurs through a foreclosure, though it may occur in other ways such as a deed in lieu of foreclosure.
- Often competitively priced – so you may be able to get a good deal.
- A decision can be made fairly quickly by the bank – so you don’t have the long waiting period required with a short sale.
- The bank is not emotionally attached to the home like a standard seller may be, so decisions are made in a business like manner.
- Not a lot of inventory available – There are not very many foreclosures for sale in Orange County in comparison to other types of sales, such as short sale.
- There’s a lot of competition for foreclosure/REO properties – many people want the best deal and believe that the foreclosures are, and this can actually drive up the price of a foreclosure through multiple offers being submitted to the bank on a single home.
- Homes are sold as is – Banks are generally unwilling to make repairs on a foreclosure.
Is a bank owned home the right choice for you?
It may be depending upon your needs and goals. To decide if this would be the best fit for you, please contact us at 714-319-9751 to set up a free consultation.
If you would like a free list of bank owned homes, please send an email to firstname.lastname@example.org.